What kind of benefits earned during marriage are considered marital property?

Marital property generally includes assets and benefits accrued during the course of the marriage, reflecting a partnership in both financial and non-financial contributions. Retirement benefits earned during the marriage are considered marital property because they are typically viewed as a deferred form of compensation for work performed during that time. This means that any contributions made to retirement accounts during the marriage are subject to division upon divorce, regardless of whose name is on the account.

In contrast, benefits such as those listed in a will are specifically designated to occur after death and are not automatically shared or divided as part of marital property during a divorce. Life insurance proceeds are typically payable to designated beneficiaries and may not be considered marital property unless the policy was acquired or significantly funded with marital assets during the marriage. Gifts received from friends are also generally considered separate property, as they are personal gifts to an individual, rather than benefits earned through the joint efforts of the couple. Thus, retirement benefits distinctly fall under the category of marital property and are subject to equitable distribution in divorce proceedings.